Changes to promote role and mindset expectations of professional accountants

Professional & Ethical

The International Ethics Standards Board for Accountants (IESBA) is proposing changes to the International Code of Ethics for Professional Accountants (including International Independence Standards) (the Codeto promote the role and mindset expected of all professional accountants.

The Exposure Draft, Proposed Revisions to Promote the Role and Mindset Expected of Professional Accountantsputs forward changes that further strengthen the Code.

Have a look

The proposed revisions respond to stakeholder calls for the IESBA to explore whether and how the Code could contribute to strengthening the application of concepts underlying professional scepticism by all professional accountants. 

Among other matters, the proposals:

  • Highlight professional accountants’ wide-ranging role in society and the relationship between compliance with the Code and a professional accountant’s responsibility to act in the public interest;
  • Include enhancements to the robustness of the fundamental principles of integrity, objectivity and professional behaviour;
  • Further strengthen the Code through requiring professional accountants to have an inquiring mind when applying the conceptual framework; and
  • Highlight the importance of being aware of bias and having the right organisational culture.

The proposals were developed in coordination with the International Auditing and Assurance Standards Board and the International Accounting Education Standards Board.

Commenting on the Proposal

Your views on the international proposals are important, as the finalised proposals will affect all professional accountants in New Zealand.

We are committed to adopting the International Code of Ethics for assurance practitioners, while ensuring those standards reflect our New Zealand conditions. This ensures we remain internationally competitive.

Your views are important to help inform us when developing our response to the IESBA, and when considering whether there are any compelling reasons for the proposals to be modified for application in New Zealand.

If we have not identified any compelling reasons for modifications to the IESBA’s proposed changes to the Code, and the IESBA finalises the exposure draft as is, we will issue equivalent revisions to PES- International Code of Ethics for Assurance Practitioners (including International Independence Standards) (New Zealand) with minimal changes only to reflect references, language and grammatical conventions used in New Zealand. 

This IESBA exposure draft is therefore your opportunity to comment on PES 1 that will be issued in New Zealand. However, if we do identify compelling reason amendments to the international proposals, we will issue a NZAuASB exposure draft in New Zealand seeking your comments.

You can either respond directly to the IESBA by 31 October 2019, or you can share your views with the NZAuASB by Thursday 10 October.

Please use the form below to submit your response to the NZAuASB.

Upload your submission here

Please use this secure online form.

It has been designed to make your upload safe, quick and easy. 

You can:

  • Upload an MS Word document (and a PDF file, if you wish); or
  • Write your comments below in the space provided.

You can upload up to TWO documents. 

Please note:

  • We would appreciate receiving a copy of your comments in electronic form (preferably Microsoft Word format).  This helps us to more efficiently collate and analyse comments. Please also specify the exposure draft number and title in your electronic file. 

  • Tell us on whose behalf you are making the comments (for example on behalf of a group or an entity).

  • We intend publishing all comments on the XRB website, unless they may be defamatory. If you have any objection to this, we will not publish them. However, they will remain subject to the Official Information Act 1982 and, therefore, may be released in part or in full. The Privacy Act 1993 also applies.

  • If you have an objection to the release of any information contained in your comments, we would appreciate you identifying the parts of your comments to be withheld, and the grounds under the Official Information Act 1982 for doing so (for example, that it would be likely to unfairly prejudice the commercial position of the person providing the information).